06/02/2011 Intraday Watering

[cletus]

Here is an update on oil. It is moving along the projected path well but here is where I become neutral on it. You can clearly see a triangle or even a possible head & shoulders bottom on it. I can't discount anything here so I'm out of my short. Actually, I got out yesterday a bit too soon, but not regretting it. Look at that reversal. Just be careful if you're short crude. Wait for this path to take shape.

Thank you for the sharing. Two days ago, May 31, you called a short on oil. I don't see the reason on that day. How did you make sure a brave and great call?

ctu

I will show how I calculated a value to short USO. Just a fibonacci and square of nine cluster right at 40.70. When I saw that USO had opened exactly at that value, I knew it was meaningful, so I shorted oil. I also knew that a cycle turn was due in oil on Tuesday. This is how USO looked to me when I did the analysis over the weekend.

[ctu688]

Cletus,
Thank you. "square of nine cluster" is a new term to me. - ctu

[nikman]

Here is an update on oil. It is moving along the projected path well but here is where I become neutral on it. You can clearly see a triangle or even a possible head & shoulders bottom on it. I can't discount anything here so I'm out of my short. Actually, I got out yesterday a bit too soon, but not regretting it. Look at that reversal. Just be careful if you're short crude. Wait for this path to take shape.

Thank you for the sharing. Two days ago, May 31, you called a short on oil. I don't see the reason on that day. How did you make sure a brave and great call?

ctu

I will show how I calculated a value to short USO. Just a fibonacci and square of nine cluster right at 40.70. When I saw that USO had opened exactly at that value, I knew it was meaningful, so I shorted oil. I also knew that a cycle turn was due in oil on Tuesday. This is how USO looked to me when I did the analysis over the weekend.

Excellent call on ZSL as well, Cletus. Looks like AGQ has formed a bear flag and so Silver will most likely revisit 32 and might even go to mid-20s.